We believe the recently announced merger of Tata Metaliks (TML) with Tata Steel Long Products Ltd. (TSLP) does not present a fair deal for the investors of TML. The future value of TML, once it turns into a 75% DI pipe (EBITDA level) driven business deserves a higher swap ratio as the merged entity will always be perceived and valued as a commodity play with substantial debt on balance sheet rather than a value added product manufacturer which is net cash. Although the entities undergoing a merger have overlapping operations, we believe that the synergies for TML are meagre as it already benefits from pooled resources and expertise...